Binance is seeking a license to operate in the Philippines before a moratorium and offering instructional tools for traders and blockchain developers.
According to a Wednesday report in the regional news, officials of Binance attended a session of the Philippine Senate Banking Committee. Participants at that hearing were the vice governor of the Bangko Sentral ng Pilipinas, Chuchi Fonacier, the chairman of the country’s Security Exchange Commission (SEC), Emilio Aquino, and representatives of the Cagayan Economic Zone Authority and the FinTech Alliance Philippines.
According to the article, the session focused on consumer protection and fintech innovation. Aquino spoke about the security of digital assets, while Fonacier talked about a sandbox approach to regulation. The crypto exchange was represented by Philippines general manager Kenneth Stern and APAC director Leon Foong, who spoke during the hearing about the exchange’s security and Know Your Customer procedure. During the hearing, Stern said:
“78% of Filipinos remain unbanked, but crypto can help decrease that number as crypto asset holders will soon surpass the number of credit card holders in the country.”
In addition, Binance said it is in negotiations with regional colleges about offering courses and certification in blockchain technology. This month, Binance is also supporting a training program for novice cryptocurrency traders in the Philippines.
Despite its fast-expanding economy and the currency’s appeal there, the Philippines has had a tumultuous relationship with cryptocurrencies in general and Binance in particular. Although a local think tank had previously been dismissed by the authorities, Binance has long sought to establish services in the nation.
However, on August 2, the Philippine SEC issued a letter warning the public against using Binance for investment. Starting on September 1, the nation’s central bank will impose a three-year ban on applications from virtual asset service providers, citing “risks that may undermine financial stability.” Changpeng Zhao, the CEO of Binance, announced in June that the company would seek VASP licensing in the nation.
The creation of a wholesale central bank digital currency is also being investigated, according to the central bank of the Philippines.
